How To Be A Property Developer (Case Study: Property Development Australia)

I've just completed and sold my 3x lot subdivision JV in under 12 months. The ungeared margin on development is close to 40% - this is almost double an acceptable development return and without flexing too hard - pretty good in the Perth market.

Now instead of telling you how easy it is to be a property developer, and then glossing over the details followed by an upsell on a course, I am going to go through the property development basics, which includes:
* How I found the development site
* What the property development feasibility looked like at the start
* Every developer knows numbers do change, so I'll cover the final numbers
* How I structured the joint venture for development financing.
* Most importantly, the mistakes that I learnt from

Finding a site is not easy, and it first starts with sourcing the development. I like to look for developments that other property developers or selling agents overlook. This is through seeking out exceptions to the planning rules.

Once identified this site in Perth, Western Australia stood out because it had a wide frontage, little-to-nil value in the house, the topography and location of the development site minimise site works, and the seller was keen to sell the property.

The initial plans were to build 4x villas, but this changed into 3x street-front green titles lots. Over the term of the project, I was able to revise up the development financials, despite the tough market conditions in Bassendean, Australia.

The joint venture structure for the property development deal was 60/40 in favour of my funder. This got me across the line on financing the property development.

In being a 'How to Be a Property Developer', I have learnt a range of mistakes myself. On this project, it included the joint venture as I left money on the table, public open space contributions by the council and retention of trees on the development site.

[KentCliffe]

Have more questions? Contact me here: www.kentcliffe.com.au

[blondspike]

Thanks so much for making this video, plus for having the integrity to want to share your experience without the notion of wanting to profit from those of us wanting to learn. Looking forward to learning more as I go though my PD journey as I take it from a side hustle to my income replacement and beyond. 👍🏻

[MrLukescotty]

#1 mistake - stop asking to subscribe... people will subscribe if they want to. Super awesome... great information.... ruined by begging.

[RobbieDonald]

I heard you say I was too afraid to subscribe but I said to myself, “No way bro, I not afraid”. I subscribed. See, I’m a big boy now.

[wayneliu]

watched one of your clips. you said I won't subscribe, I hesitated then you insisted. then i subscribed. thank you

[dylanmunday]

Really enjoyed your video. Very insightful for an up and commer. How do you go about connecting with private lenders like the one you used for this deal?

[JeremyHartley]

Extremely informative. Thank you so much for going out of your way to share this priceless content!

[mohdshahnawaz]

Loved this video. Thank you so much for this valuable information Kent :)

[yc]

My mistake is I found your channel just now. Great video

[JamesTsividis]

Thanks Kent. Looking forward to going through your videos!

[RahulRahul-xwwq]

Genuine Video. Thanks Bro. What do you think about Sydney ?

[jacobmiller]

Great insight, looking to get into property development. Very helpful

[Mak]

So happy i found your YouTube channel. This is like the MeetKevin youtube channel except Australian edition hahaha.



Thanks for this video. Alot of great value and i love how you shared your numbers. Im in Brisbane and want to do this and its pretty scary. If i do end up doing this, if i do end up doing this. it will be partly thanks to you for giving me the confidence through your videos.



Thanks Legend,

[rowenacatellani]

That Pos is a pain. They have that too in Gosnells. By d way, your videos are gold mine. Thanks. Keep up the great work.

[trbl-ycvu]

Facebook group Property Investors Australia. Thanks for posting your video on there. Subscribing now.

[vanidotau]

Excellent video, Kent! Thank you!

Do you think a struggling market makes it easier or harder to achieve higher returns of developments compared to a booming market?

[donfather]

Awesome video again Kent! How much would you charge a client to find them a development site as a buyers agent? Also, as a rough figure, how much GST was payable in this case study? Keep this content coming Kent loving it!

[devs]

This video is a Gem for beginners! #subscribed

[lepzjr]

is there a course you would suggest to kick start a career in property development?

[cidg]

Thanks Kent,
You have helped another noob today lol
I subscribed :)